POL prices cut by up to Rs 1.62/litre

ISLAMABAD: The government on Sunday approved up to Rs 1.62 per litre cut in the per litre prices of petroleum products (POL) under the monthly oil price review mechanism effective for a long time in the country. Following the recommendation of Oil and Gas Regulatory Authority (OGRA) to approve up to Rs 1.60/litre decrease in the prices of POL products for the month of September under a monthly oil price review mechanism, Ministry of Petroleum and Natural Resources (MPNR) after getting the nod of Finance Ministry has approved recommended decrease in future POL prices. “Approved POL prices will be effective with the start of September in the country,” sources said. Sources in Finance Ministry told Daily Times that due to a decision of reduction in POL prices for the current month of September, new petrol price would stand at Rs 106.56, High Speed Diesel (HSD) at Rs 108.34/litre, High Octane Blended Component (HOBC) at Rs 133.01/litre, Kerosene oil at Rs 96.99/litre, and Light Diesel Oil (LDO) at Rs 92.08/litre. They said the government has approved Rs 1.41/litre decrease in the price of petrol, Rs 1/litre in HSD, Rs 1.62/litre in HOBC, Rs 0.06/litre in Kerosene oil and Rs 1.19/litre in lDO’s price for the said month. “After getting the consent of premier, the minister of fiancé Senator Ishaq Dar has given his nod to give up to Rs 1.062/litre reduction in POL prices,” a source said. The Oil and Gas Regulatory Authority (OGRA), during the last week, consulted the Oil Marketing Companies (OMCs) to get their determination regarding POL prices for September and forwarded a summary to petroleum ministry. The regulator (OGRA) also got determination from OMCs regarding Inland Freight Equalization Margin (IFEM) for the transportation cost of POL products. The OGRA proposed a decrease of Rs 1.22 per litre in petrol price, Rs 1.60 per litre in high-octane blended component (HOBC), Rs 1.36 per litre in light diesel oil (LDO), Rs 0.97 per litre in kerosene oil and Rs 1.03 per litre reduction in the price of high-speed diesel (HSD), they added.